Essay On Lean Six Sigma

964 Words2 Pages
bulb-icon

Recommended: Impact of implementation of lean six sigma in an organization

Lean and Six Sigma are two methodologies that industries use that rely on the improvement of performance by removing waste and reducing variation in the manufacturing processes. Sometimes industries pay their employees to take a Lean Six Sigma course to better improve the company's performance and make profit. However, some companies think Lean Six Sigma have no effect whatsoever in their process. Through this research, the effectiveness of Lean Six Sigma will be questioned and it will be shown whether if it improves performance in organizations and to what magnitude does it improve it.
First off, to question the effectiveness of Lean Six Sigma we have to understand what it is. What exactly is Lean Six Sigma? Lean Six Sigma is a combination …show more content…

They are, however, valid reasons not to use it since Lean Six Sigma is not that popular within businesses and organizations; The third main reason organizations do not use Lean Six Sigma is the most relevant to our topic. Lean Six Sigma helps increase profits in businesses and organizations but, to increase profits, a significant upfront investment must be done to train employees and to apply Lean Six Sigma in all its nature in the …show more content…

After Lean Six Sigma was applied into General Electric, the rate came down to 3.4 defects per 1,000,000 operations. This were very good news for General Electrics since the cost-saving opportunity of raising the quality up to Six Sigma was around 10-15 % of their sales which, at that time, was from $7-$10 billion dollars. As a matter of fact, General Electric’s most ambitious project was the implementation of Lean Six Sigma. They felt in love with this methodology since it was of great advantage to the improvement of the company over its competitors. Currently, after 22 years of having implemented Lean Six Sigma into its manufacturing process, General Electric’s net worth is of $147.3 billion.
Statistically speaking, it was not possible to prove that an organization that applied it did not benefit from Lean Six Sigma. However, it was possible to determine the reasons why organizations do not use it. The main reason why Lean Six Sigma is not being applied in organizations is because they have no knowledge of its benefits, not because they have attempted to apply it and statistically prove that Lean Six Sigma is not worth the

Show More
Related

  • Lean Six Sigma Analysis

    1265 Words  | 3 Pages

    There are many people that benefit from Lean Six Sigma which include mainly customers, suppliers, employees, and also stockholders. Lean Six Sigma is a way for businesses to improve, to reduce waste and to become more successful. In the future, more and more organizations will adopt or practice some of the Lean, Six Sigma, or both in order to stay competitive in today’s market. In some cases, blending both Lean and Six Sigma can be costly and difficult; however the end result can create an organization that focuses on quality, accuracy, and speed to meet the goal which is profitability.

    Read More

  • Six Sigma Case Study

    784 Words  | 2 Pages

    1) Six Sigma should not be viewed as a quality program that is commissioned to reduce defects but as a methodology that helps companies better meet the needs of their business. KM shares this goal.

    Read More

  • Lean Six Sigma Model In Nursing

    1013 Words  | 3 Pages

    As you can see from the figure the lean six sigma is customer driven, targets variation, focuses

    Read More

  • Six Step Process Case Study

    913 Words  | 2 Pages

    In the increasingly complex world of health care, health care professionals make life-changing decisions for their patients and clients. The decisions can range from life to death and long care term for patients with mental disabilities. Not only do the decisions impact the patients or clients life but it also affects the patient’s family, caregivers and even the person making the decisions. Hence, healthcare professionals are advised to develop a moral reasoning and ethical decision-making process. The model used by most healthcare professionals is the six-step process developed by Purtilo and Doherty.

    Read More

  • Essay On Continuous Improvement

    1105 Words  | 3 Pages

    There is a lot of literature on the concept of continuous improvement (CI). Studies show that CI is very important to creating competitive advantages in highly competitive industries such as the automobile industry (Bhuiyan & Baghel 2005; Li et al. 2009; Schaeffer, Cadavid, & Backström 2010). These studies suggest that manufacturing firms use CI to eliminate waste in all organisational systems and processes (Bhuiyan & Baghel 2005; Li et al. 2009). Currently, manufacturing firms use lean manufacturing, six sigma, lean six sigma, and the Kaizen methods of CI methodologies to reduce wastages, simplify the production line, and improve quality (Swink & Jacobs 2012).

    Read More

  • Business Case Analysis

    2011 Words  | 5 Pages

    Sitnikov, C. (2012). Six sigma as a strategic tool for companies. Young Economists Journal / Revista Tinerilor Economisti, 94-102.

    Read More

  • The Effect Of Lean Six Sigma On The Employee And The Organization

    1957 Words  | 4 Pages

    Lean Six Sigma is a methodology that creates processes within an organization to cut waste and improve the company’s performance. However, studies have shown that over the past decade applying Lean Manufacturing and Six Sigma can create problems for companies financially and potential problems for employees. Companies should take great care before implementing a Lean Six Sigma solution because in some instances, going lean can do more harm than good both financially for the organization as well as destroying employee loyalty and moral.

    Read More

  • Access, Quality, and Cost Containment

    1390 Words  | 3 Pages

    Persoon, T.J., Zaleski, S., & Frerichs, J., (2006) Improving preanalytic processes using the principles of lean production (Toyota Production System). Am J Clin Pathol. 2006 Jan;125(1):16-25.

    Read More

  • Pizza My Heart in Northern California

    1160 Words  | 3 Pages

    According to what we have learned in class, six sigma, statistically, is interpreted as having no more than 3.4 defects per million. However, they dump 10-12 dough balls per week, while 5-6 is more reasonable, which illustrates the quality mismanagement. So, the food cost there is way higher when it accounts for 38%, while industry ideal is 30%. In order to streamline the entire process of making pizza, it is an imperative for Pizza My Heart to exhaustively put six sigma in action.

    Read More

  • Six Sigma Case Study

    1171 Words  | 3 Pages

    The Six Sigma approach was designed by Motorola in 1986. The primary objective of the concept was to develop a tool for tallying the process defects and, as the result, improving business operations. The foundations of the approach are the customer needs, statistical analysis of data and facts, and timely execution. The method promises numerous benefits such as increasing performance and profitability of an organization, improving product or service quality and employee morale, decreasing costs, the growth of market share, the higher level of satisfying customer needs, etc. (Meredith & Shafer, 2013). The primary advantage

    Read More

  • Operations Management Metrics

    917 Words  | 2 Pages

    Barnard, W., De Feo, J. (2004). Juran Institute’s Six Sigma Breakthrough and Beyond. New York, NY: The McGraw-Hill Companies

    Read More

  • Lean Startup Method Essay

    1049 Words  | 3 Pages

    Lean startup method helps entrepreneurs to develop businesses and products. This method first developed by Eric Ries in 2008. Eric Ries gained a lot of experience in U.S. startups before developing the Lean Startup method. Ries states that: '' Startups shorten their product development cycle by following businesss hypothesis driven experimentation, repetitive product unleashes and validated learning processes. This method prioritize customers and their needs in order to minimize market risks and some initial costs.

    Read More

  • Kellogg’s; an example of Lean Production System, using Just-In-Time (JIT)

    1514 Words  | 4 Pages

    ...reduce cost to the business, customers and the environment. Lean production system can be seen really great operations strategy for Kellogg’s, however, the management need to look for methods, which enables the employees to understand the system better, therefore resistance can be avoided. In order employees to be motivated, there is a need for training before their work as well as involve them in the implementation procedure. Consequently, Kellogg’s would be more successful if the company carries out this program.

    Read More

  • Process Management Essay

    1361 Words  | 3 Pages

    Process Management can be defined as a concept which helps integrate performance excellence and quality into the strategic management of organizations. Process management includes activities such as defining a process, establishing responsibilities, evaluating process performance and also identifying opportunities for improvement. Innovation, on the other hand, can be defined as the conversion of knowledge and ideas into new or improved products, processes or services to gain competitive advantage. After reading the first article it is clear that it focuses mainly on three different programs that are associated with process management. These three processes are listed as TQM, ISO 9000, and Six Sigma.

    Read More

  • Toyota Manufacturing Company

    1103 Words  | 3 Pages

    The main idea is to fulfill the internal or external customer’s wants. Through lean thinking, it is hoping that nonmanufacturing company’s can provides value to the customers with minimum cost, effort and can save time. Thus, it will lead to improve performance and optimum utilization of the company’s additional capacity and resources.

    Read More

More about Essay On Lean Six Sigma

Open Document